Spotify assaults Apple’s ‘outrageous’ 27% fee

Spotify has launched an outspoken assault on new transaction charges of as much as 27% being levied by Apple within the US.

On Wednesday, Apple introduced it might allow app builders to promote merchandise in locations aside from its personal retailer – however provided that they nonetheless paid fee.

Spotify mentioned that was “outrageous” and accused Apple of “stopping at nothing” to guard its earnings. It is urging the British authorities to forestall related charges being levied within the UK.

Apple has been approached for remark.

The agency launched the charges within the US because of a long-running authorized battle with Fortnite developer Epic Games.

The courtroom discovered Apple acted in opposition to US competitors legal guidelines by not permitting app builders to inform folks about different methods of paying, together with via hyperlinks that bypass Apple’s personal App Store fee system – which it costs a 30% payment to make use of.

As a outcome, Apple has launched a brand new algorithm within the US which is able to enable folks to subscribe to companies with out utilizing its system, however it can cost builders as much as a 27% fee to take action.

Spotify has reacted with fury, saying the coverage “flies in the face” of the US courtroom’s try to allow better competitors.

“Once again, Apple has demonstrated that they will stop at nothing to protect the profits they exact on the backs of developers and consumers under their app store monopoly,” it mentioned in a press release.

Spotify has a historical past of attacking Apple over its charges. In October 2023 it accused it of getting an “insane” stage of management over the web.

Now, it says the UK authorities ought to intervene.

“The UK’s Digital Markets, Competition and Consumer Bill must put an end to this false posturing, which is essentially a recreation of Apple’s fees.

“We strongly urge UK lawmakers to move the invoice swiftly to forestall Apple from implementing related charges, which is able to assist create a extra aggressive and modern tech business for UK customers and companies.”

The BBC has approached the UK government for comment.